RAM Capital Management Initiates Investment Opinion on DCH
Technology, Inc., With a 12-Month Price Target of Over $5.00 Share
RAM Capital Management of Palm Beach Florida, has initiated an
investment opinion on DCH Technology, Inc., (OTC BB: DCHT), calling
them a significantly undervalued special situation. DCH is a manufacturer
of hydrogen sensors, and PEM fuel cells. Both technologies are licensed
from US Department of Energy National Laboratories.
DCH Chief Scientist, Dr Mark Daugherty, joined DCH in June 1998,
directly from the Los Alamos National Laboratory to commercialize the
patented circular fuel cell stack.
July 19, 1999, the DCH fuel cell was chosen by NorthWest Power
Systems, (NYSE: IDA), as part of a $3.5 million dollar order from
Bonneville Power Administration.
dch-technology.com
This is a highly significant breakthrough for DCH, as it officially puts
them in the residential fuel cell arena. The overall fuel cell industry is
currently estimated at $900 million and rapidly growing. DCH has
positioned itself to supply both sensors and fuel cells to this rapidly
growing industry.
We believe that this and other events in the last 4 months, including the
expansion of DCH's production facilities in both California and
Wisconsin, when properly factored in, are not being reflected in the
current share price.
With fuel cell industry peers trading with market caps ranging from $160
million to over $2 Billion, we feel DCHT at only $9 million market cap, is
significantly undervalued which is the basis for our opinion. Also of
importance is that DCH has a steadily growing industrial equipment
business serving the $100 million annual hydrogen sensor market.
With the filing of their Form 10 expected any day, we believe sustainable
appreciation in the stock will be warranted as hydrogen technology
becomes more widely accepted, and DCH's role in several important
demonstrations is truly understood.
These are the events of the last 4 months;
May 12, 1999, DCH was selected by the US Dept of Energy to lead a
team of 22 companies, including AlliedSignal, Pacific Marine and the
American Bureau of Shipping to implement hydrogen energy in the
maritime sector.
ch2bc.org
March 26, DCH formed a strategic alliance with Xybernaut Corp.
(Nasdaq: XYBR), to integrate and deploy the wearable computer, fitted
with DCH hydrogen sensors, targeting the rapidly growing $2 Billion gas
detection industry. copower.com
March 4, DCH formed a strategic alliance with AlliedSignal, (NYSE:
ALD, NYSE: HON). AlliedSignal will be developing aerospace systems
integrating DCH technology for missions ranging from active corrosion
control and nuclear safety to the development of hydrogen powered
vessels. dch-technology.com
For further information regarding this report contact:
Steven Oshinsky, General Manager
ramcapitalmanagement.com
561-338-3390
Email: MrOshinsky@aol.com
Or contact DCH Investor Relations directly at:
661-775-8120, ext. 11,
DCHTinvest@aol.com
dcht.com
Other sites mentioned in this report:
copower.com
xybernaut.com
ch2bc.org
Disclaimer
RAM Capital Management is not a Registered Investment Advisor or a
Broker/Dealer. RAM has prepared this report independently of DCH and
from sources believed to be factual, but does not guarantee its accuracy
or completeness. This is not an offer to sell or the solicitation of an offer
to buy. These forward-looking statements are based on current
expectations and differences can be expected. Any opinions expressed
are subject to change without further notice, and may not necessarily be
reprinted in future publications or elsewhere. The reader assumes
responsibility for any loss arising from any use of this report or its
contents. Pursuant to Section 17(b) of the 1933 Act, RAM advises the
readers of this electronic document that it has received a fee of 100,000
free-trading common shares and $5,000 on Feb 7, 1999, and Dec. 1998
for services, and expects to receive additional compensation in the future.
RAM may profit in the event the shares of DCH increase in value. These
positions may be liquidated from time to time even after RAM, has made
positive comments on the Company.
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